For most agricultural products, farmers produce homogeneous products, sell them to a common market, and generally cannot affect prices greatly. This is an example of which kind of market structure?

Question

Quizplus · Accepted Answer

The given scenario of farmers producing homogeneous products and selling them to a common market with little price influence suggests a market structure of perfect competition. In this market structure, there are many small firms producing standardized products, and all firms have little control over prices, thus making it highly competitive.

For Most Agricultural Products, Farmers Produce Homogeneous Products, Sell Them